Good week for wool prices despite late dip in Melbourne

Wool's EMI climbs above 1600c despite late price slide in Melbourne

Livestock
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The wool market had an encouraging resumption to sales after the Christmas break with the EMI climmbing above the 1600c barrier.

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LOOKING GOOD: The wool market had a solid start to sales in 2020 with the EMI climbing 51 cents a kilogram clean during sales in Melbourne and Sydney.

LOOKING GOOD: The wool market had a solid start to sales in 2020 with the EMI climbing 51 cents a kilogram clean during sales in Melbourne and Sydney.

Wool's benchmark Eastern Market Indicator climbed 51 cents to finish the week on 1609c a kilogram clean despite a disappointing price dip during Thursday's sale in Melbourne.

Sales resumed after the annual three-week Christmas recess and the EMI shot up 79c during the first sales in Sydney and Melbourne on Tuesday.

The national weekly offering was a hefty 52,261 bales which required a three-day sale in Melbourne due to a large roster of 27,393 bales.

From the opening hammer on the first day it was clear a big price lift was on the cards and by day's end all Merino types and descriptions rose by 90 to 140c.

Over in the west the Fremantle sales resumed on Wednesday and opened strongly with general price increases of 90 to 100c.

Halfway through the sale, however, buyers started to reduce their limits as they accumulated wool and by the end of the day the rises had almost completely deteriorated.

The downward trend in the west continued when Melbourne opened on the final day with southern Merino price guides for 17.5 micron and broader tumbling by 27 to 77c which clipped 34c off the EMI. The pass-in rate in Melbourne was 16.2 per cent on an offering of 10,501 bales

Merino fleece 17 microns and finer fell by an average 20c, 17.5-18.5 microns was down 60c and 19 microns and coarser dipped by 75c.

Merino skirtings ended the day 30c easier for all microns and descriptions.

Crossbred wools that sold failed to recover early losses and ended the day 40c easier.

At Fremantle a limited offering of 18.5 micron and finer wool attracted strong competition and these types were generally 5 to 15c dearer.

The bulk of the offering was between 19 and 21 micron and these wools generally opened 30 to 40c easier but prices slowly strengthened and closed the day down by an average 20-30c.

Merino skirtings suffered losses of between 90 and 120c which resulted in pass-in rates of 33pc.

The Western Indicator finished the week up by 16c to 1687c.

The Northern Indicator in Sydney ended this week's two-day sales (Tuesday and Wednesday) sitting on 1678c, up 79c.

This week's sales generated $80.95 million for vendors, bringing the wool cheque so far this season to $1.139 billion.

Next week's national offering increases to 59,890 bales.

The story Good week for wool prices despite late dip in Melbourne first appeared on Farm Online.

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